Investment Rating - The report maintains an "Outperform" rating for the power and utilities sector based on industry valuation levels, earnings growth expectations, and development prospects [7]. Core Insights - The power and utilities index outperformed the market in November 2025, with a decline of 1.80%, compared to a 2.46% drop in the CSI 300, resulting in a 0.66 percentage point outperformance [2][11]. - In October 2025, the national electricity consumption reached 857.2 billion kWh, showing a year-on-year growth of 10.4%, with significant increases in the charging and swapping service industry, as well as in information transmission, software, and IT services [3][15]. - The installed capacity of wind and solar power combined exceeded that of thermal power for the first time, accounting for 46.1% of total installed capacity as of October 2025 [3][37]. Summary by Sections Market Review - The power and utilities index showed a stronger performance than the market, with specific sub-sectors like heating and gas showing positive growth [2][11]. - The top-performing stocks in November included Shengli Co. (33.07%) and Delong Huineng (26.03%) [11]. Supply and Demand in the Industry - Electricity consumption in October 2025 reached 857.2 billion kWh, with a notable increase in the third sector's consumption, particularly in charging services [15][16]. - The total electricity generation in October 2025 was 800.2 billion kWh, with a year-on-year increase of 7.9%, driven by a recovery in thermal power generation [24][25]. Industry Chain Volume and Price - Coal production and imports continued to decline, with a 2.3% decrease in domestic coal production in October 2025 [4][38]. - The price of thermal coal at northern ports was reported at 820 RMB/ton, reflecting a monthly increase of 7.9% [4][46]. Natural Gas Volume and Price - Natural gas production growth slowed to 5.9% year-on-year in October 2025, while imports decreased by 7.3% [5][54]. - The price of liquefied natural gas was reported at 4268 RMB/ton, with a slight monthly increase of 0.7% [5][57]. Yangtze River Three Gorges Water Conditions - The water inflow at the Three Gorges continued to improve, with significant increases in both inflow and outflow rates compared to the previous year [7][62]. Monthly Power Supply and Demand in Henan Province - In October 2025, Henan's total electricity consumption decreased by 4.47% year-on-year, while the total generation also saw a decline of 3.75% [67][71].

Core Viewpoint - The electricity and public utilities sector has outperformed the market in October, with the CITIC Electricity and Public Utilities Index rising by 4.71% since the beginning of the month, surpassing the Shanghai and Shenzhen 300 Index by 3.09 percentage points [1][2]. Group 1: Market Performance - The CITIC Electricity and Public Utilities Index has increased by 4.71% since October 1, 2025, outperforming the Shanghai and Shenzhen 300 Index, which rose by 1.62% [1][2]. - The leading sub-sectors in terms of growth are thermal power (8.70%), gas (6.45%), and hydropower (4.48%) [1][2]. Group 2: Electricity Supply and Demand - In September 2025, electricity consumption increased by 4.5% year-on-year, with the first industry showing a higher growth rate compared to other industries and residential consumption [3]. - The industrial electricity generation in September 2025 saw a year-on-year increase of 1.5%, with thermal and wind power generation experiencing a decline, while hydropower generation increased [3]. - As of September 2025, the installed capacity of wind and solar power (45.96%) has surpassed that of thermal power (40.45%) [3]. Group 3: Coal Market - In September 2025, the production of raw coal was 410 million tons, a year-on-year decrease of 1.8%, with the decline rate narrowing compared to August [4]. - Coal prices have been rising, with the price of thermal coal at northern ports reaching 760 yuan/ton, an increase of 8.57% for the month [4]. Group 4: Natural Gas Market - Natural gas production increased by 9.4% year-on-year in September 2025, while imports decreased by 7.86% [6]. - The price of liquefied natural gas in China was 3864 yuan/ton as of October 20, 2025, remaining stable for the month [6]. Group 5: Hydropower Conditions - The water inflow at the Three Gorges has significantly improved since September 2025, with the inflow rate increasing by 143% compared to the same period in 2024 [7]. Group 6: Regional Electricity Supply and Demand - In September 2025, Henan Province experienced a year-on-year decrease in total electricity consumption of 4.99% and a decrease in generation of 12.1% [8]. - The installed capacity in Henan Province reached 16,259 MW by the end of September 2025, with wind and solar power accounting for 50.05% of the total [8].

Core Viewpoint - The company reported an increase in power generation and grid-connected electricity volume for the first three quarters of 2025 compared to the same period last year, indicating a positive growth trend in its operational performance [1] Group 1: Power Generation and Electricity Volume - For the first three quarters of 2025, the company achieved a total power generation of 349.241 billion kWh and grid-connected electricity volume of 332.134 billion kWh, representing a year-on-year growth of 0.68% and 0.68% respectively [1] - In the third quarter of 2025, the company generated 143.215 billion kWh of electricity and connected 136.333 billion kWh to the grid, with year-on-year increases of 7.57% and 7.58% respectively [1] - The volume of electricity traded in the market accounted for 89.86% of the total grid-connected electricity [1] Group 2: Installed Capacity - As of September 30, 2025, the company's consolidated installed capacity reached 123.2414 million kW, comprising 79.293 million kW from thermal power, 14.9506 million kW from hydro power, 10.4285 million kW from wind power, and 18.5693 million kW from solar power [1]